Celebrate Financial Independence This Fourth Of July
Texas CPAs Offer Ways to Maintain a Budget and Reduce Credit Card
Dallas, TX (Vocus) July 2, 2010 -- As America celebrates its independence, the Texas Society of CPAs wants to
help those that feel trapped by financial burdens by offering a few simple ways to maintain a budget, and to break
free from credit card debt.
According to the Federal Reserve the total amount of consumer debt remained steady in 2009 – at nearly $2.5
trillion dollars which averages out to be nearly $8,100 in debt for every man, woman and child in the United
Also, as of April 2010, the total U.S. revolving debt (98 percent of which is made up of credit card debt) is $838
While these numbers are staggering, regaining personal financial freedom can be achieved by adhering to the
Simple Budgeting Tips
* Track your spending -- For one month, keep receipts and/or write down all purchases to get a good idea of
where the money goes.
* Know your income -- Make a list of all income sources like salary, rental properties, gifts, dividends, etc.
* Set saving and spending categories -- List all fixed expenses like the mortgage and utility bills. Variable
expenses like food and entertainment are more flexible. Use a month-long tracking exercise to help assign a dollar
amount to each variable expense. Then, add it up.
* Compare income and expenses and make adjustments if necessary -- If income exceeds expenses, you’re in
good shape. If expenses are more than income, adjustments need to be made.
* Stick to it -- To get spending under control, stick to the budget. This doesn't mean not to have any fun, In fact,
if some money is built in for the good things in life, it may be harder to stick with it.
Credit Card Debt
• Know how much is owed and to whom -- Getting out of debt isn’t possible unless you know how much you
owe. Make a list of debts, including interest rates and minimum payments.
• Target balances with the highest annual percentage